The author's basic point is that Western Democracies cannot afford some of the welfare states they are operating and Greece is a prime example. The other European (Euro) nations bailed out Greece, but who bails out the next one, and the one after that? The lede reads:
What we're seeing in Greece is the death spiral of the welfare state. This isn't Greece's problem alone, and that's why its crisis has rattled global stock markets and threatens economic recovery. Virtually every advanced nation, including the United States, faces the same prospect. Aging populations have been promised huge health and retirement benefits, which countries haven't fully covered with taxes. The reckoning has arrived in Greece, but it awaits most wealthy societies.The author goes on to note that here in these United States we dislike the term welfare state, so we use the term entitlements. Same difference.
The proposed pay raise for Boston Firemen is an example of a welfare state out of control. At some point we are going to have to say no to pay raises for people in the military Services and to civil servants, federal and local, even if they do have unions. Even now the Department of Defense is asking Congress to hold back on generous pay raises for Service Members. For those of you who wish to ask me about forgoing my pay raise, as a part time worker at DRC I am on the same hourly rate that I was on when I retired over a year ago—so no raise in 2.25 years. And, there was no Social Security Cost of Living Allowance (COLA) for 2010.
Hat tip to the Instapundit
Regards — Cliff